China’s Planned Bitcoin-Killer Sparks Major Concerns

Bitcoin and cryptocurrency have this year successfully provoked central bankers and governments to take digital currencies seriouslythough many remain skeptical.

The bitcoin price, which has failed to return to its all-time highs set in late 2017 despite a late December rally, was given a substantial boost in the first half of this year by social media giant Facebook’s plans for a bitcoin-like rival.

Now, China’s long-awaited answer to bitcoin and Facebook’s libra is taking shape, with People’s Bank of China confirming the “digital yuan” won’t be “for speculation or require the support of a basket of currencies”— leaving many disappointed and others concerned.

“The currency is not for speculation,” Mu Changchun, head of the People’s Bank of China’s digital currency research institute, said over the weekend, according to the official Shanghai Securities News and reported by China’s South China Morning Post newspaper.

“It is different to bitcoin or stable tokens, which can be used for speculation or require the support of a basket of currencies,” Mu said, with the newspaper adding “the top-level design, formulation, functional research and testing of the Digital Currency Electronic Payment had been completed,” with “the next step” to roll out pilot programmes.

The news was met with disappointment from China’s social media users, the South China Morning Post reported.

One said there will be “no fun in it,” while another added “if you don’t allow me to speculate on the digital form of the yuan, I’ll speculate on other things, like foreign exchange.”

Meanwhile, China’s plans for a bitcoin-rival have sparked fears Beijing will use the digital yuan to better control its citizens.

“A roller-coaster decade—not just for for banking and money but also for privacy and politics—may just be beginning,” wrote Andy Mukherjee for Bloomberg, a financial newswire…

Continue reading at FORBES.com

 

https://www.forbes.com/sites/billybambrough/2020/12/30/chinas-planned-bitcoin-killer-sparks-major-concerns/#69fdb3f4685c

Crypto Overview December 27th: Bitcoin, Ethereum, Ripple, Dash, and Cosmos

Bitcoin

Bitcoin attempted to regain some of the losses from this month as it increased by a small 1.26% this week. The cryptocurrency remained supported at $7,123 and even spiked higher to meet the December resistance at the $7,886 level. Bitcoin is now trapped within a range between $7,686 and $7,123 and must break this range to dictate the next market direction.

If the bulls defend the support at $7,123 and start pushing higher, initial resistance lies at $7,400 and $7,686 (bearish .382 Fib Retracement). Above this, resistance lies at $8,051 (bearish .5 Fib Retracement and 100-days EMA), and $8,256 (200-days EMA). Alternatively, if the sellers push beneath the support at $7,123, support lies at $7,000. Beneath this, additional support is found at $6,790, $6,600 and $6,423.

btcusd-dec27

Ethereum 

Ethereum continues to struggle this week as it dropped by a slight 2% to bring the price for the coin down to $125. ETH has now witnessed a steep 16% price fall this month as it continues to trade within a long term descending price channel. The cryptocurrency is struggling to break resistance at $133.50 and must overcome here to travel higher.

Looking ahead, if the sellers push ETH back beneath $125, initial support lies at $120. Beneath this, support is located at $118.19, the lower boundary of the channel, and then at $116.23. Alternatively, if the buyers regroup and start to push higher, resistance is located at $133.50. Above this, resistance lies at $145, $152, and $160.

ethusd-dec27

Against Bitcoin, ETH tumbled further beneath 0.0176 BTC and continued to drop into lower support at 0.0171 BTC (.886 Fibonacci Retracement level). The bulls have defended this area, but the momentum remains in favor of the bears at this moment. If ETH were to drop beneath here, the market would resume its bearish trend. 

Initial support beneath 0.0171 BTC lies at 0.017 BTC. Beneath this, support is found at 0.0164 BTC and 0.016 BTC. On the other hand, if the buyers hold the support at 0.0171 BTC and start to rebound, resistance lies at 0.0176 BTC and 0.018 BTC. Above this, resistance can be found at 0.01847 BTC and 0.019 BTC.

ethbtc-dec27

Ripple

This week saw XRP finding a period of stabilization as the cryptocurrency received strong support at the $0.1850 level. It is now trapped within a range between $0.1850 and $0.20 and must break beyond this to dictate the next direction for the project. 

If the buyers defend the support at $0.1850 and push higher, an initial resistance is located at $0.20. Above this, higher resistance lies at $0.2120, $0.2830, and $0.2345. On the other hand, if the sellers break beneath the support at $0.1850, then support is located at $0.18. Beneath this, additional support is found at $0.17 and $0.167.

xrpusd-dec27

Against BTC, XRP attempted to rebound from the 2600 SAT support but was unable to break above the resistance at 2750 SAT. XRP went on to roll over and has returned to the support at 2600 SAT as it moves sideways along this level.

Looking ahead, if the bulls manage to regroup from here and push higher, resistance is expected at 2750 SAT. Above this, resistance lies at 2800 SAT, 2900 SAT, and 3000 SAT. Alternatively, if the sellers break back beneath the support at 2600 SAT, additional support is found at 2530 SAT, 2455 SAT, and 2400 SAT.

xrpbtc-dec27

Dash

Dash has seen a very turbulent period of trading during December after the cryptocurrency dropped by a steep 24% to reach the current $37.70 trading price. It has suffered further during the previous few months after falling by a steep 45% over the past three months. The cryptocurrency is trapped within a steep descending price channel and must break above here to turn bullish.

If the sellers push Dash beneath the support at $37.71, initial support lies at $35 and the lower boundary of the channel. Beneath this, additional support lies at $30, $38, and $23. On the other hand, if the bulls defend the $37.71 support and rebound, resistance lies at $44.50 and $50. Above $50, resistance lies at $59.20 and $65.

dashusd-dec27

Against Bitcoin, Dash has been pretty disastrous. It dropped beneath the support at 0.007 BTC this month, allowing it to fall further lower into the current 0.0054 BTC support level. The momentum is well within the favor of the sellers, and Dash must rise back above 0.08 BTC for any hope of recovery.

If the selling continues to push Dash lower, support can be expected at 0.0051 BTC and 0.0050 BTC. Beneath this, support lies at 0.0049 BTC and 0.0045 BTC. On the other hand, if the bulls regroup and push higher, resistance lies at 0.006 BTC, 0.007 BTC, and 0.008 BTC. 

dashbtc-dec27

Cosmos Coin

Cosmos has seen a pretty handsome 28% price surge this week, allowing the cryptocurrency to increase to $4.56. It has risen by a further 6% this week, making Cosmos the strongest performing cryptocurrency out of the top 20 ranked projects over the past seven trading days.

ATOM now faces resistance at $4.81, which is provided by the bearish .5 Fibonacci Retracement level. Above this, resistance lies at $4.99, $5.33, and $5.51 (bearish .618 Fib Retracement). On the other hand, if the sellers regroup and push the market lower, support can be found at $4.12. Beneath this, support lies at $4.00, $3.50, and $3.25.

atomusd-dec27

Against BTC, ATOM has also been surging as it attempts to create a fresh 6-month high above the 0.00066 BTC level. This area of resistance is provided by the bearish .618 Fibonacci Retracement level. The momentum is clearly within the bullish favor, as it looks to continue this upward trend.

Looking ahead, initial resistance lies directly at 0.00066 BTC. Above this, resistance lies at 0.0007 BTC, 0.00073 BTC, and 0.00078 BTC. Alternatively, if the sellers regroup and push the market lower, we can expect initial support at 0.00057 BTC. Beneath this, support lies at 0.00052 BTC, 0.0005 BTC, and 0.000478 BTC.

atombtc-dec27

The post Crypto Price Analysis & Overview December 27th: Bitcoin, Ethereum, Ripple, Dash, and Cosmos appeared first on CryptoPotato.

Source: Crypto Potato

Why Bitcoin Will Generate 1000%+ Returns in the Next Few Years

Bitcoin is looking set to end the year almost double its price at the beginning. The long term trend is still very strong and those gains are likely to continue for the next few years.


Bitcoin Up Over 90% YoY

Last Christmas, Bitcoin was priced at around $3,800. It had been through a brutal bear marking dumping over 80% from its all-time high the previous year.

Twelve months on and the king of crypto is holding $7,300 after another correction of almost 50%. The lows are getting higher and the gains are continuing for those that buy and sell at the right times.

In a year that has been painful for nearly all of the other cryptocurrencies, bitcoin has gained over 90%. If the pattern continues, and there is a bull run after the halving, next year’s low could be well into five figures.

Trader and analyst Josh Rager has been looking at stock returns and sees even greater potential gains for bitcoin over the years to come.

Potential 1000+% returns, not only over the coming decade, in the next few years if we see $BTC hit between $75k to $100k+

Blocktown Capital managing partner James Todaro shared an infographic showing that bitcoin has outperformed all of the top stocks for 2019 and has been the top performing asset for the past decade.

There is no reason why these gains will not continue as crypto assets gain more momentum and go mainstream.

In just a couple of years BTC has gone from being an experiment mined on gaming rigs in garages by geeks, to a globally tradable asset.

Many analysts are expecting a new all-time high in 2020, especially with the halving driving FOMO. The stock to flow model, which has recently come under some scrutiny, suggests a price in the $50k region.

Blockchain Capital Partner, Spencer Bogart, thinks BTC will go vertical next year which will be the fifth era for the digital asset.

BitMEX research has also made a few predictions for the coming year but with a cap on bitcoin’s peak at $15k. It also suggested that dominance, which is currently over 70%, will not top 75% but remain above 30%. There is a lot of scope for error with these wild predictions.

The bottom line is that bitcoin has outperformed all but a couple of altcoins this year. There has been no altseason and high cap assets such as Ethereum and XRP are ending 2019 lower than they started it.

Price predictions are abound as the year comes to a close and most agree that the only direction for BTC is up.

How high will bitcoin climb in 2020 and beyond? Add your comments below.


Images via Shutterstock, Twitter @Cryptowelson @BitMEXresearch @JamesTodaroMD @Josh_Rager

The post Why Bitcoin Will Generate 1000%+ Returns in the Next Few Years appeared first on Bitcoinist.com.

Source: Bitcoininst

Altcoins

These Five Altcoins Crushed Bitcoin’s 2019 Returns

2019 was the year of Bitcoin, which stole the spotlight from the rest of the crypto industry, including altcoins like Ethereum, Ripple, and Litecoin.

However, a small handful of altcoins vastly outperformed Bitcoin, and crushed even the returns that BTC brought investors during its year of bullish price action.

The Top Performing Crypto Assets of 2019

From trough to peak, at its local high of $14,000 Bitcoin had brought investors as much as 350% return on investment. Even at current prices of $7,500, the crypto asset is still closing out the year with a staggering 140% return.

During Bitcoin’s parabolic climb, the crypto asset sucked all the capital out of the altcoin market, causing many of them to set new lows for the year or fall into the negative year-to-date.

However, a handful of select altcoins not only gave Bitcoin a run for its money but even have outperformed the leading cryptocurrency by market cap during what has been the strongest year since the bull run.

The five crypto altcoins to beat out Bitcoin at its own game include Constellation, Centrality, Tierion, Ripio Credit Network, and the crypto industry poster child, Chainlink.

While the list may contain four relatively unheard of altcoins, most crypto investors should have heard of Chainlink throughout the year. The cryptocurrency was at the tips of many trader’s tongues due to the strong performance is saw all year long.

News of Google and others relying on the altcoin’s underlying technology caused the asset’s price to soar, and it never came back down to refuel its jets.

The crypto asset is set to close out the year with 560% gains, barring any catastrophic price action.

Altcoins Beat Bitcoin At Its Own Game

Despite Chainlink being the talk of the crypto market throughout the year, it was the second-best performing altcoin, behind Constellation…

Continue reading at NEWSBTC.com

Bitcoin Price Set to Outshine Gold and Stocks by Big Margin in 2019

Bitcoin is on track to end 2019 on a positive note and significantly outperform traditional assets like gold and stocks.

The number one cryptocurrency is currently trading at $7,125, representing a 93 percent gain on a year-to-date basis, according to CoinDesk’s Bitcoin Price Index.

Prices rose from $3,700 to $13,880 in the first six months likely on the back of halving narrative (a supply cut due in May 2020). Facebook’s launch of cryptocurrency Libra in June further boosted buying.

The frenzy, however, ended in the third quarter with fear gripping the market that Libra might fast track stringent regulation for the entire crypto market. The sell-off was accentuated by miners selling their bitcoin rewards in the final quarter, as noted by crypto market analyst Willy Woo.

At press time, bitcoin is reporting a 48 percent loss from the high of $13,880 seen at the end of June. Prices hit seven-month lows below $6,500 earlier this week.

Despite the H2 downturn, bitcoin’s full-year performance is positive, as mentioned above, and the cryptocurrency is outperforming gold and S&P 500 in a big way.

Gold, a classic haven asset, is currently trading at $1,477 per ounce – up 15 percent on a year-to-date basis. Meanwhile, the S&P 500 index, a benchmark for risk assets across the globe, is currently reporting a 28 percent gain for 2019. That its the biggest yearly gain since 1997.

Both assets likely benefitted from the U.S. Federal Reserve monetary easing. The central bank delivered three 25-basis-point interest rate cuts in the second half and has expanded its balance sheet by more than $300 billion since mid-September.

While bitcoin’s 93-percent yearly gain looks staggering when compared to traditional markets, the number looks slightly less impressive if we take into account the cryptocurrency’s historical performance…

Continue reading at COINDESK.com

Heard of bitcoin’s ‘halving’? It’s set to shake crypto markets in 2020

If you’re not a bitcoin enthusiast, you probably haven’t heard what’s happening next year: It’s called the “halving”, and it will cut production of the cryptocurrency by 50%.

No one’s in control of this process. It’s a rule written into bitcoin’s underlying code by its pseudonymous creator Satoshi Nakamoto more than a decade ago.

The event, expected in May 2020, slashes by half the number of new coins awarded to bitcoin miners who provide global supply of the cryptocurrency by solving complex maths puzzles.

That’s a big change in a market worth about $120 billion where bitcoin worth several billions dollars are created every year.

Players in the know are preparing for the sharp price gains and volatility that have accompanied previous halvings, which happen roughly every four years and act to both ensure the scarcity of bitcoin and keep a cap on price inflation.

There are likely to be winners and losers. So market participants, from bitcoin miners and traders, are trying to fathom how the next halving might play out to gain an edge.

“This is the biggest question right now for most of the industry,” said Eyal Avramovich, chief executive of MineBest, a Warsaw-based company that mines bitcoin.

The fracture to the production of bitcoin provides a reminder of one reason why the decentralized digital currency has confounded regulation and acceptance by mainstream finance: Its fate remains tied to arcane technological factors.

In theory, if supply is cut and demand stays constant, prices rise. This time around, seven crypto traders and miners interviewed by Reuters said the May halving would probably lead to greater volatility and trading volumes. However the cut to supply is liked to be more priced in than previously, they said, with many traders already geared up for the upcoming event…

Continue reading at THE MOTLEY FOOL

 

 

Is This Why Bitcoin Suddenly Rebounded Yesterday?

Bitcoin and cryptocurrency markets suddenly rebounded yesterday, with the bitcoin price climbing back above the psychological $7,000 per bitcoin mark after a sell-off earlier in the week.

The bitcoin price has been stuck in a downward trend for the past few months and previously dipped under $7,000 per bitcoin in November, only to jump back again.

But should we have seen bitcoin’s rebound coming? A report out earlier this month found the cost of creating new bitcoin, a process known as mining, now averages around $6,300 per bitcoin—something that could mean bitcoin is perhaps unlikely, but not guaranteed, to fall below this level.

“Among our findings is an estimate that the current market-average, all-in marginal cost of creation … is approximately $6,300,” analysts at CoinShares Research wrote in a report out last week. “If our estimates are correct, this suggests that, at [then] current bitcoin prices ($7,300), the average miner is profitable.”

The bitcoin price has fallen and rebounded since the report came out last week, with bitcoin yesterday finding support at a little over the $6,300 per bitcoin CoinShare researches found to be the current average cost of mining new bitcoin—what could be considered bitcoin’s ultimate price floor.

When the bitcoin price dropped below $4,000 late last year some miners were forced to turn off their machines while others rushed to reassure the market they were not about to shut down.

“Almost exactly a year ago, the price of bitcoin fell as low as $3,200, even though average bitcoin mining costs were about twice as high. How was that possible,” asked Glen Goodman, author of The Crypto Trader.

“Because what matters is not the average miners but the lowest cost miners, the ones who can do it most cheaply because they have access to cheap electricity and newer, more efficient mining equipment. Those miners can currently even scrape a profit at $3,900.

“If the bitcoin price fell below $3,900, then I expect we’d see fireworks. Most miners would probably have to shut down operations, and many would be forced to sell their stocks of bitcoin, which would push the price down further. But in that situation, the bitcoin system automatically adjusts to make mining easier until miners feel it’s profitable to start working again.”

Last year, Northern Bitcoin, which uses the Lefdal mine in Norway’s Sandane to house its bitcoin mining rigs, found China and…

Continue reading at FORBES.com

 

Why Bitcoin is Perfectly on Track for Parabolic Cycle Despite 50% Drop

Bitcoin experienced a sharp and sudden drop earlier this morning that led the crypto as low as $6,400, and its reaction to this level has provided some much-needed validation for embattled bulls who feared that BTC would experience significantly further losses.

Much to the chagrin of bears, analysts are noting that Bitcoin may be positioned for further gains in the near-term, as its parabolic trend cycle has still remained firmly in tact despite the recent bearish price action experienced by the cryptocurrency.

Bitcoin Posts Strong Bounce After Tapping $6,400

At the time of writing, Bitcoin is trading down marginally at is current price of $6,820, which marks a massive climb from its daily lows of $6,400 that were set earlier this morning.

BTC’s strong reaction to this price signals that it is a critical support level for the cryptocurrency, and its ability to post a strong a decisive reaction to this level points to the possibility that there may be some underlying strength amongst the crypto’s bulls.

Because of this bullish reaction, analysts are noting that they believe that the crypto’s recent lows could mark a long-term bottom.

Scott Melker – also known as the Wolf of All Streets – told his nearly 60k Twitter followers in a recent tweet that he is “fully deployed” in BTC, with an average entry of…

Continue reading at NEWSBTC.com

3 Problems XRP Price Could Face in 2020

Ripple’s XRP is the third-largest cryptocurrency by market cap. But its massive supply and a number of other factors will continue to be at the root of its struggles as we enter a new year.


The Rise and Fall of XRP

Just like all the major cryptocurrencies, XRP price enjoyed its heyday at the start of 2018, reaching as much as $3.65 a token. Like all things crypto, it wasn’t to last, and the fallout was more savage than most.

XRP has lost more than 90% of its value since its peak, and the price is currently languishing at around 18 cents. That makes it one of the worst-performing coins of 2019… although it certainly doesn’t signal the end for Chris Larsen’s creation.

According to InvestingHaven, all the current bearish momentum surrounding Ripple’s coin is actually a good sign. They dismiss it as “traction in adoption,” and say that XRP holders can “expect a bullish outcome before March 2020.”

Despite its staunchest supporters and analysts singing its praises on socials, though, XRP is likely to face a number of struggles next year. Here are the top three.

Continued Dumping

Probably the greatest challenge that XRP holders have to face is the continual dumping of the token, not to mention the media attention surrounding these events. With its co-founder, Jed McCaleb, constantly offloading onto the market, along with an undisclosed settlement with R3, XRP hodlers seem to be at the constant mercy of large bag holders; perhaps more so than with other crypto projects. 

There are simply too many XRP tokens in circulation. This causes it to hemorrhage value through ongoing giveaways and oversupply.

On top of that, there are still more than 200 more monthly tranches of over 220 million XRP tokens to be released by Ripple–just waiting to be dumped.

XRP Price Depression

With investor confidence waning amid continued dumping, as well as XRP at a 2-year low and dropping (down 16% in 48 hours), it’s hard to see any signs of bullish support right now. 

Unless, of course, you subscribe to InvestingHaven’s bullish projection. Could Ripple’s coin really perform like silver in 2002? Is it really just a question of increasing adoption? Perhaps:

Ripple and XRP are only now starting to get traction, they solve a huge real life problem and customer testimonials are amazingly promising.

There may be a large enough use case for XRP moving forward for it to thrive… But it’s going to have to corner the market fast over the next 12 months.

Increased Competition from CBDCs

If XRP is going to prove its worth to the world, it’s going to have to do it soon. 2020 is already lining up to be the year of the race of the Sovereign digital currencies and bank-issued stablecoins.

With the competition hotting up from China to the Marshall Islands, more and more countries are looking interested in launching their own digital currencies.

With corporations like Facebook and banks like JPMorgan all throwing their hats in the ring too, XRP is going to have to fight tooth and nail to stay relevant as a cross-border payment solution in 2020.

What do you think Ripple’s biggest challenges will be going into 2020? Add your thoughts below!


Images via Shutterstock, Twitter @InvestingHaven

The post 3 Problems XRP Price Could Face in 2020 appeared first on Bitcoinist.com.

Source: Bitcoininst

Where is Ripple (XRP) Headed?

XRP’s price action throughout 2019 has proven to be gravely disappointing to investors, as it was only exposed to a fraction of the bullishness that Bitcoin and other major altcoins incurred throughout the first part of the year, while facing the full impact of the bearish second half of the year.

The crypto’s recent bearish price action has largely been guided by one strong descending resistance line that has held strong for the past eight weeks, and XRP was just recently able to break above this level. In spite of this, the crypto has continued its strong downtrend in the time following what could have been a bullish technical development.

The bearish reaction to this level coupled with bearish Bitcoin price action could spell trouble for where the cryptocurrency goes next.

Bearish Market Conditions Force XRP Lower

At the time of writing, XRP is trading down over 4% at its current price of $0.208, which marks a notable decline from its daily highs of over $0.22 that were set yesterday.

The cryptocurrency’s recent bearishness has been largely due to Bitcoin’s recent price action, which has overwhelmingly favored sellers over the past several weeks.

Today, bears roared after a long period of sideways trading within the aggregated crypto markets, with Bitcoin plummeting below its key support level at $7,000, leading most major altcoins to post massive losses.

XRP is currently trading just a hair above its recently established post-2017 bull run lows of $0.19 that were set during the capitulatory drop seen in late-November.

It remains unclear at this moment whether or not $0.20 will hold as a support level for the embattled cryptocurrency, but a drop below this level could lead to significant further near-term losses.

Interestingly, the cryptocurrency was able to break through a key multi-week resistance level yesterday, and at the time it failed to post any major reaction to…

Continue reading at ETHEREUM WORLD NEWS